A DRAMATIC day of twists and turns in the High Court ended yesterday with Cork City striking a deal with the Revenue Commissioners that involves the payment of all the club’s overdue taxes by 4.30 next Wednesday or acceding to the appointment of a liquidator.

City officials and their legal representatives were in and out of court on four different occasions over the course of the day and looked set at one point for a rather desperate appeal to the Supreme Court. Instead, the two sides returned to tell Ms Justice Mary Laffoy in the late afternoon that the basis for an agreement had been reached.

Under its terms, City paid some €220,000 yesterday, with roughly the same amount to follow next week. The additional funds are to be transferred from a London bank account, news of which sparked rumours of an anonymous benefactor or takeover. But the club’s owner, Tom Coughlan, insisted the funds had been raised by him and his advisers, partly against the anticipated revenue from the Celtic game.

Coughlan greeted the judge’s endorsement of the deal like an injury-time goal but said it merely represents a second chance for his stewardship of the club that he cannot afford to squander.

“It’s been tough,” he said, “But I’m thrilled we’re still here and have a game tonight. There’s no weekend off, though. There’s still an awful lot of work to do. It’s obvious I’ve made a b**** of it for the first six months. Now we have to come up with a more sustainable model.”

Coughlan said the process of looking at everything, “root and branch” would start immediately and he was due to meet the players and their representatives after last night’s game against Bray Wanderers. It has been rumoured the club would seek wage cuts of around 30 per cent but a more immediate problem is whether the €130,000 or so due to squad members on Wednesday for the past five weeks will be paid.

PFAI general secretary Stephen McGuinness said Coughlan told him as he left court that making the payment, which was deferred from this week with the players’ agreement, would now be “a problem” in view of the new commitment made to the Revenue.

“It looks like the lads are not going to be paid for more than five weeks and I’m really not sure how long they can keep going on that basis,” said McGuinness. “Having said that, I’ve spoken to some of the players straight after coming out of court and they’re relieved the club has survived. Tomorrow morning, though, reality will probably kick in again.

“I see everyone from the club celebrating as they head off but the reality is that they have only got over the first hurdle today and we have to see now if they can come up with a plan. Otherwise, this is just a stay of execution.”

Even that much looked to have eluded City earlier in the day, however. Since their appearance on Monday when it became clear the Revenue would be seeking all of the money it was due, the club had come up with an email from the tax authorities from last Friday in which it was clearly suggested that the original deal of half up front and the balance to follow in four equal monthly instalments would still be acceptable.

Counsel for the club then offered a variation on this, with the half up front to be topped up with a variety of payments, including income from a number of sponsorships, revenue from the Celtic game and prize-money. The latter two were to be guaranteed by the FAI which gave an undertaking that it would effectively run the friendly game and pass on all profits to the Revenue along with any prize-money as it became due.

The Revenue had declined the offer prior to coming to court but the judge, who seemed intent on giving the club every chance, suggested to its counsel, Dermot Cahill, that he seek new instructions, observing that “a bird in the hand is worth two in the bush,” and that the authorities need not worry about looking “soft” in view of the effort that had been required of the club to get this far.

Ninety minutes later, though, Cahill returned to say he had been instructed to request that the judge proceed with the winding-up order. His opposite number, Rossa Fanning, then sought a further stay to allow the club to mount an appeal to the Supreme Court. This would have been somewhat unprecedented and so, briefly, it seemed as though the club might make a little bit of legal history as it scrambled to save itself.

In the end, though, the two sides returned to the High Court before 5 o’clock to reveal the terms of the agreement they had reached. As part of it, City will be obliged to pay the costs incurred by both sides during a four-month legal saga. One more bill, it seems, to add to the pile.